Editor's Note:
Next-day power prices chopped around at major U.S. markets Monday, May 14, with mixed demand outlooks largely driving gains and losses.
Participants also watched natural gas market activity. Losing 0.8 cent on May 11, NYMEX June natural gas futures rebounded Monday on short covering and settled at $2.842/MMBtu, up 3.6 cents.
Looking at supply, total U.S. nuclear plant availability had improved to 89.76% by early May 14, up from 85.89% on May 11 and above the 77.55% reported on the same day in 2017.
PJM power prices surge $9 with expected upswing in demand
In the East, next-day power prices were higher Monday, with generally supportive load forecasts working to push values to the upside.
At the PJM West hub in the mid-Atlantic, next-day power was priced in the mid-$50s to low $60s, surging about $9 on the session.
Load in the PJM Mid-Atlantic region should top out at 39,500 MW on Tuesday, climbing 5,450 MW from the day prior. Demand in the PJM Western region is anticipated to crest at 56,650 MW on Tuesday, down 150 MW from Monday.
Day-ahead market prices were aimed higher across the region, with power at the New England Mass hub averaging $34.98. In New York, DAMs were pegged at $35.30 at Zone A, $38.13 at Zone G and $38.65 at Zone J.
New York demand is called to reach a high at 19,100 MW on Tuesday, up 1,300 MW from Monday. Load in New England is likely to peak at 15,150 MW on Tuesday, increasing 1,000 MW from Monday.
Deals for power for Tuesday delivery at New England Mass ran in the mid-$30s.
ERCOT power prices rally to open week
Amid an expected upturn in demand, day-ahead power markets in Texas soared Monday.
Deals in Texas increased from levels spread across the $20s on May 11. Prices for Tuesday at ERCOT South, Houston, West and North came in at averages of $45.61, $46.87, $48.23 and $49, respectively.
ERCOT load is seen hitting a high of about 59,265 MW on Tuesday, up 400 MW from Monday.
Midwest power markets falter with expected demand downturn
Next-day power markets in the Midwest eased several dollars, with an expected downturn in demand pressing on values. Power deals at the Indiana market were seen in the low $40s, for a daily loss of about $5.
PJM AEP region load is likely to reach a high of 18,350 MW on Tuesday, down 150 MW from Monday. Demand in the PJM ComEd region should top out near 11,700 MW on Tuesday, easing 400 MW from Monday.
West Coast power prices stumble with softer load forecast
West Coast power prices shifted lower Monday, with a slightly softer demand picture weighing on values.
In California, heavy-load parcels at South Path-15 were seen in the low $20s, faltering more than $1 from the prior trading day.
In the Northwest, Mid-Columbia heavy-load power was priced in the mid- to high teens, dropping $4 or so on the day. Heavy-load power prices at California-Oregon Border were seen in the upper teens, down about $6.
In the Southwest, heavy-load power trading at Palo Verde was seen in the mid-teens, with deals at Mead assessed in the high teens to low $20s, tumbling $1 to $2.
According to the California ISO, demand is seen peaking at 28,150 MW on Tuesday, decreasing 300 MW from Monday.
Market prices and included industry data are current as of the time of publication and are subject to change. For more detailed market data, including power, natural gas index prices, as well as forwards and futures, visit our Commodities pages.
